The Impact of AI on Financial Inclusion with Financial Literacy as a Moderating Variable

This research paper studies the impact AI have over financial inclusion with financial literacy as a moderating variable. AI technologies has become a transformative tool in today’s world which includes machine learning, robo-advisors and NLP. It has boosted the effect of financial inclusion on consumers. On the contrary, financial inclusion has become the buzzword as it has made the financial products and services available and affordable for the masses. But the accessibility and affordability effects of AI-based solutions on financial services are driven by the users’ financial literacy. This study explores the role of AI in financial inclusion and financial literacy, relying on existing literature along with primary research through interviews.The finding suggests that although AI has impacted financial inclusion a lot but with the help of financial literacy the changes are more significant. The research paper provides valuable insights for the financial institutions, policymakers, and government to promote AI and financial literacy to enhance their impact on financial inclusion.